Crew Energy Announces Revised Acquisition Terms and the Purchase of 59 Sections
of Montney Rights in Northeast British Columbia, March 1,
CALGARY, ALBERTA -- (Marketwire) -- 03/01/13 -- Crew Energy Inc.
("Crew" or the Company") (TSX:CR) of Calgary, Alberta is pleased to
announce that it has purchased 59 sections of Montney lands (the
"Option Lands") in Northeast British Columbia, exercising on a
portion of and amending the option it obtained in December 2012 as
part of its Septimus/Groundbirch acquisition.
The Company, on February 28th, 2013 closed the acquisition of
approximately 59 net sections of Option Lands for a purchase price of
$20 million. These lands are contiguous or proximal to Crew's
existing lands and include approximately 31 net sections in the
Altares/Attachie liquids rich gas window and approximately 28 net
sections at Goose in the oil window of the over pressured regional
Montney complex in Northeast British Columbia.
Crew has maintained the exclusive option to acquire approximately 81
additional net sections of land for $36 million subject to
adjustments with such payment to be comprised of cash or a minimum of
$10 million cash and the issuance of Crew common shares at Crew's
election. The option election period on the remaining lands has been
extended from March 15, 2013 to June 3, 2013. This option, if
exercised, is expected to close by July 9, 2013. Completion of these
transactions furthers the Company's strategic consolidation of
prospective Montney acreage in the area. This timing is beneficial to
Crew as the staged option exercise better fits the Company's
budgeting profile while allowing the Company to further consolidate
prospective Montney acreage in the area.
Forward Looking Statements and Information
This news release contains certain forward looking statements and
information within the meaning of applicable securities laws. In
particular, but without limiting the foregoing, this news release
contains forward looking statements and information pertaining to the
anticipated completion of the acquisition of lands in Northeast
British Columbia on or about March 1, 2013 and the expected
completion and timing of the acquisition of the remaining lands in
the event the option is exercised by Crew.
Forward looking statements or i
nformation are based on a number of
material factors, expectations or assumptions of Crew which have been
used to develop such information or statements and which may prove to
be incorrect. Although Crew believes that the expectations reflected
in such forward looking statements or information are reasonable,
undue reliance should be not placed on forward looking statements
because Crew can give no assurance that such expectations will prove
to be correct. In addition to other factors and assumptions which may
be identified herein, assumptions have been made regarding, among
other things, that all conditions to closing of the transactions are
satisfied or waived and the ability of Crew to obtain financing on
The forward looking statements and information contained in this news
release speak only as of the date of this news release and Crew does
not assume any obligation to publically update or revise any of the
included forward looking statements or information, whether as a
result of new information, future events or otherwise, except as may
be required by applicable securities laws.
Barrel of oil equivalents or BOEs may be misleading, particularly if
used in isolation. A BOE conversion ratio of 6 mcf: 1 bbl is based on
an energy equivalency conversion method primarily applicable at the
burner tip and does not represent a value equivalency at the
wellhead. Given that the value ration based on the current price of
crude oil as compared to natural gas is significantly different than
the energy equivalency of the 6:1 conversion ratio, utilizing the 6:1
ratio may be misleading as an indication of value.
Crew is a Calgary, Alberta based oil and gas exploration, development
and production company whose shares are traded on The Toronto Stock
Exchange under the trading symbol "CR".
Crew Energy Inc.
President and C.E.O.
Crew Energy Inc.
Senior Vice President and C.F.O.
Crew Energy Inc.
Senior Vice President and C.O.O.
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